Both Groups Make Massive Investments
Team Welfare at Top Level
Invisible Pride Showdown
The competition between retail rivals Shinsegae and Lotte is also in full swing this year in the baseball scene. Inside the stadium, Shinsegae is leading the league until the middle of the season. However, Lotte is also in a position to climb up to the top ranks at any time, so the future outcome can change at any moment. Industry insiders say that the two groups, leading with bold investments, are engaged in another type of 'retail war' in the baseball world, staking their pride on the game.
As of the morning of the 13th, the Shinsegae Group professional baseball team SSG Landers is holding the 1st place in the ‘2023 Shinhan Bank SOL KBO League’. SSG finished first in the regular season last year and won the Korean Series championship. Although it is still mid-season, they are continuing to sail smoothly toward their second consecutive championship.
SSG’s performance is regarded as the result of massive investment. According to the team’s audit report posted on the Financial Supervisory Service’s electronic disclosure system, SSG invested 47 billion KRW in player operations last year. This is an increase of nearly 80% compared to the previous year (26.2 billion KRW). Player operation costs include salaries of affiliated players, overseas training camp expenses, accommodation costs during domestic away games, and players’ rehabilitation and treatment expenses. Nearly doubling these costs also indicates a strong willingness to invest in the team.
Additionally, SSG is well known in the baseball world for its excellent player welfare. The players receive the same affiliate discount benefits as Shinsegae Group employees. They enjoy discounts when using Starbucks (30% off), E-Mart, E-Mart Traders, No Brand, SSG.COM, Shinsegae Food, Shinsegae Department Store, and more. A team official said, "Not only players but also their spouses can receive discount benefits, which leads to high satisfaction."
The Lotte Giants dropped one rank after suffering two consecutive losses in a three-game series against Samsung last weekend, but they still hold 4th place, keeping within reach of the postseason. Lotte finished 8th last season and missed the postseason, but this season they have consistently ranked in the upper-middle tier, aiming for a postseason appearance for the first time in six years.
The rebound of Lotte is also largely due to investment. Lotte invested 26.2 billion KRW in player operations last year, a 40% increase compared to the previous year (18.6 billion KRW). The level of player welfare is also comparable to other teams. Benefits include medical support for players, Lotte W Card discounts for players, discounts at the Giants merchandise shop, and holiday gifts.
Investments in the baseball teams by the two groups are expected to continue in the future. There is clear synergy between baseball team marketing and promotion and their core retail businesses. Shinsegae is constructing a dome stadium in Cheongna, Incheon. In addition to the dome stadium, a hotel and Starfield will be built, creating another ‘Shinsegae Universe’. Lotte recently started the reconstruction of Sajik Baseball Stadium in Busan in cooperation with the city, and although detailed plans are not yet available, construction of commercial facilities affiliated with Lotte Group is expected.
SSG and Lotte will hold a three-game series at Incheon SSG Landers Field starting on the 16th. This will be their second matchup of the season. It is expected that Shinsegae Vice Chairman Chung Yong-jin will personally visit the stadium to watch the games during this series. Vice Chairman Chung has already been known among fans as a ‘regular at Landers Field’ several times this season and is also the owner of the SSG team. Similarly, the owner of the Lotte team is Chairman Shin Dong-bin, the head of the group. This shows the close relationship between the baseball teams and the heads of their respective groups.
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